What's the difference between 'On my Mac' & 'MobileMe' calendars?

I'm just moving from Entourage to iCal. I didn't import my Entourage data into iCal; I just opened the calendar created by Entourage in iCal. I assume this is fine and I can rename this calendar to something other than the default "Entourage" and keep working in it, without the need to import data?
This calendar syncs with MobileMe (where it also appears as "Entourage" ) with no problems and I can view all my events and to dos in Safari at http://www.apple.com/mobileme/.
What I'm confused about is that, when creating a new calendar in iCal I get the options: "On My Mac" and "MobileMe". I don't get it; if my calendar syncs with MobileMe, what's the difference?
Can someone please stop my brain hurting.
Thanks in advance,
Steve = : ^ )

Thanks for the reply. The To Do folder in Mail has two sub-folders: "On My Computer" and "MobileMe". All the To Dos from my regular iCal calendar already appear in the "On My Computer" sub-folder, and they end up in the calendar at MobileMe, so there's no need for a 'MobileMe'-type calendar there.
You're right that To Dos created in Mail require a 'MobileMe'-type calendar to appear in iCal, but why wouldn't you just switch to iCal to create a To Do?
Where there is a difference, though, is that it works in the other direction: To Dos created in a 'MobileMe' calendar in iCal, end up in the "MobileMe" To Do sub-folder in Mail and items in this folder get synced to the "Apple Mail To Dos" folder on the iPhone, whereas those in the "On my Computer" sub-folder don't. (I verified this).
This appears to be a solution to the lack of a To Do app on the iPhone. As far as I can see, I can: export my iCal calendar; create a new 'MobileMe' (i.e. not 'On My Computer') calendar; import my exported data into this calendar and use it in place of the current calendar. As far as I can see everything will behave exactly as it does now with the exception that my To Dos will now appear in the "MobileMe" To Dos sub-folder in Apple Mail instead of the "On My Computer" one, and this means that they will now sync to the "Apple Mail To Dos" folder on the iPhone.
But if it were this simple, there wouldn't be people all over the net complaining about the lack of a To Do list on the iPhone, and other people writing apps to fill the demand. And what is the point of the 'On My Computer'-type calendar in the first place? I must still be missing something. :-\
Steve = : ^ )

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